Senate approves MP with benefits for airlines and events sector

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The Senate Plenary approved the provisional measure that eliminated the taxes paid by airlines and allowed a similar exemption for the tourism and events sector. MP 1,147/2022 was reported by Senator Daniella Ribeiro (PSD-PB) and is now being sanctioned as a conversion bill (PLV 9/2023).

In the speaker’s opinion, the stimulus will allow event companies to grow again and generate more employment and income.

“Today we are here to discuss this provisional measure of the utmost importance for the economy and development of our country. I would like to recall the situation that the events sector is going through, which is going through a real ordeal. Always remembering that phrase, the first to stop during the pandemic and the last to resume their activities,” the rapporteur recorded.

The MP reduced to zero percent the contribution rates for the Social Integration Program (PIS) and the Asset Training Program for Public Servants (Pasep) and the Contribution for the Financing of Social Security (Cofins) that tax the Revenues from regular passenger air transportation activity between January 1, 2023 and December 31, 2026.

The MP also modified Law No. 14,148 of 2021, which established the Emergency Program for the Resumption of the Events Sector (Perse). The program determined emergency and temporary actions aimed at the events sector to offset the effects derived from the measures to combat the covid-19 pandemic.

In the Chamber, the deputies made modifications to the original text, which were confirmed by the senators, such as the reopening of debt installments of Santas Casas de Misericórdia and extracts from MP 1.157/2023 and 1.163/2023, on fuels, and MP 1,159/2023, on the exclusion of ICMS from the calculation basis of PIS and Cofins credits, adapting the legislation by decision of the Federal Supreme Court (STF). These three MPs are pending in Congress and are valid until June 1.

Within the scope of Perse, there is also the possibility of creating debt renegotiation modalities, including those of a tax, non-tax and FGTS nature. Debt renegotiations will be carried out with a discount of up to 70% on the total amount of the debt and a maximum payment term of up to 145 months, waiving the minimum initial payment and presentation of guarantees.

S-system
The approved text has a provision that allocates 5% of the collection of contributions from companies to the Social Service of Commerce (Sesc) and the National Service of Commercial Learning (Senac) to finance the Brazilian Agency for the Promotion of International Tourism (Embratur). and promote international tourism in Brazil.

Senators Izalci Lucas (PSDB-DF), Esperidião Amin (PP-SC), Laércio Oliveira (PP-SE), Carlos Portinho (PL-RJ), Zequinha Marinho (PL-PA), Alan Rick (União-AC), Damares Alves (Republicans-DF) and others.

“Sesc and Senac are institutions recognized throughout society for their work in the area of ​​professional training, in the field of tourism. Could it be that the only alternative to finance Embratur is to involve resources from Sesc and Senac? No. We present a request for the Senate to ignore these two articles, since the money of the institutions is private, coming from the contribution of companies in the trade of goods, services and tourism”, said Rick.

The government leader in the Senate, Senator Jaques Wagner (PT-BA), said that President Lula promised to veto articles 11 and 12 to prevent the transfer of resources from System S to Embratur.

aviation and events
Regarding the tax benefit for civil aviation, the estimate made by the previous government, of a tax exemption of R$ 505.82 million in 2023, is already incorporated into the Federal Budget. For the other years, until 2026, the waiver will add more than R$ 1.09 billion. However, since companies will not pay these taxes, they will also not be able to enjoy the tax credits related to them.

Regarding the changes in the Perse creation law, the approved text adds other sectors that may enjoy the benefits in addition to those activities defined in Ordinance 11,266/2022, published in December of last year to regulate the matter and whose validity came into force on January 1, 2023.

Although the program became law in May 2021, the parts vetoed by then-President Jair Bolsonaro were annulled by Congress only in March 2022. PIS, Cofins, Corporate Income Tax (IRPJ) and Social Contribution on Net Income (CSLL).

new activities
The text of the ordinance was incorporated and contains 38 sectors, according to subclasses of the National Classification of Economic Activities (CNAE). They stand out among them:

• lodging establishments,
• cultural producers,
• recreational equipment rental,
• party houses,
• event production,
• congresses, fairs, events and shows in general
• event Houses,
• social and children’s buffets,
• hospitality in general and
• movie theater management

The approved text includes other sectors, such as catering services at events; nightclubs, discos, dance halls and the like; reservation services and other tourist services. Also included: bars and similar establishments with or without entertainment; botanical garden activities; zoos; national parks, ecological reserves and environmental preservation areas.

Only companies or entities that were already carrying out these activities on March 18, 2022 will be able to enjoy the benefit. If they are up to date with the Registry of Tourist Service Providers (Cadastur), transportation services, restaurants can also benefit from these benefits. , travel agencies, car rentals and amusement parks.

The leader Jaques Wagner assured that the Lula government will reopen the registration period in Cadastur, to benefit more companies.

Senator Romário (PL-RJ) praised the provisional measure as an effective instrument to help the events sector.

“Today I wanted to talk to you about the importance of the events sector. I represent the State of Rio de Janeiro, which hosted the 2014 World Cup, which hosted the 2016 Olympic Games, which every year organizes the largest Carnival party in the world in Sapucaí and the New Year’s party largest in the world in Copacabana; not to mention Rock in Rio, which is already part of the world calendar of music festivals. I mentioned only a few mega-events, but there are thousands of minor events of importance in my state,” Romário said.

He cited data from the Brazilian Association of Event Promoters (Abrape): the 78,000 companies that operate in the events area in Brazil generate more than 110,000 formal jobs.

credits
As stipulated for aviation companies, the tax exemption for the events sector will not allow the maintenance of linked credits. This rule should only be applied as of April 1.

Still in the Perse law, the reconversion project repeals a device that provided for the payment, in 2023, of compensation to companies in the events sector with reduced income, due to the pandemic, greater than 50% of what was invoiced in 2019 in relative to 2020, based on payroll expenses. The total value would be limited to R$ 2.5 billion.

holy houses
The approved text also reopens, for 90 days from the regulation, the term to adhere to the Special Tax Regularization Program for Santa Casas, hospitals and charitable entities that operate in the health area. The regulation must come out within 90 days after the publication of the future law. Debts subject to prior installments can be paid in installments. Payment can be made in 120 successive monthly installments, except debts with the INSS, which must be paid in 60 monthly installments.

In the case of inclusion of debts in administrative or judicial discussion, the interested party must withdraw from these actions, acknowledge the debt and request the file of the action, in the case of the Judiciary. The value of the installments will be corrected by the Selic rate plus 1% in the payment month. The taxpayer will be excluded from payment in installments if the legal entity declares bankruptcy or is extinguished or if it does not pay three consecutive months or six alternate months.

fuels
The conversion project also incorporates excerpts from MP 1,157/2023 and 1,163/2023, on the reduction of fuel tax rates, with validity scheduled for the end of the year (December 31, 2023). These passages refer to the reduction to zero of the PIS and Cofins tariffs for diesel, biodiesel and liquefied petroleum gas (LPG), including imports. Another point is the suspension of the PIS/Cofins for the oil acquired by the refineries for the production of fuels, a benefit valid until that same date.

These MPs remain in effect with the partial increase in federal taxes on alcohol, gasoline, aviation kerosene, and natural gas for vehicles. As of July 1 of this year, the full rates of these taxes will be applied again to these fuels.

ICMS
The approved text prevents the inclusion of the ICMS in the calculation base of the PIS and Cofins credits, adapting the legislation due to the decision of the STF that considered this inclusion unconstitutional for the calculation of these federal taxes to be paid.

According to the justification of the MP, the change is necessary because the decision of the Supreme Court does not refer to the calculation method of the PIS/Cofins credits. The objective is to avoid revenue losses of around R$ 31.86 billion in 2023; of R$ 57.98 billion in 2024 and R$ 61.21 billion in 2025.

FAT Features
The resources of the Workers’ Support Fund (FAT) transferred by constitutional force to the BNDES may be remunerated at the Reference Rate (TR) instead of the Long-Term Rate (TLP).

However, only 1.5% of the balance of resources transferred to the bank will have this lower remuneration, which will result in a lower final cost for the borrower. The interest rate reduction will be applied to innovation and digitization operations supported by the BNDES, and the National Monetary Council (CMN) will define the eligibility criteria.

RenovaBio
In the National Biofuels Policy (RenovaBio), the approved text allows the regulation to authorize the reduction of the individual decarbonization goal by fuel distributors in the case of supply contracts with a term of more than one year if they are signed with an ethanol trading company.

RenovaBio establishes mandatory greenhouse gas emission reduction goals that will be applied to all fuel distributors, in proportion to their participation in the fossil fuel sales market in the previous year.

(with Chamber Agency)

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